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Syscoin has confirmed that Ryan Kennedy, Ex-CEO of Moolah, and his accomplice Chelsea Hopkins, were arrested by the UK authorities on charges of theft of more than 3,700 BTC from Mintpal. Syscoin, which lost around 750 BTC, is leading its own blockchain investigation.

 

Ryan Kennedy, known also as Alex Green, was running the Mintpal bitcoin exchange via his company Moolah when he suddenly resigned from Moolah in October 2014 and disappeared following Mintpal’s collapse. He allegedly took funds from Mintpal for his personal use and failed to pay 750 BTC as ordered by His Honour Judge Seymour in a UK court in a case filed for Syscoin.

Syscoin has issued an update on the legal situation, stating that they are working with UK courts, UK authorities, and Interpol to resolve the case. They confirmed that Kennedy and Hopkins are under arrest and that the litigation continues. The company also revealed that they are conducting an investigation using the blockchain:

“We’ve produced evidence verified by a cryptographic expert; the story the blockchain tells is not one that aligns with the explanation provided (bug stole the bitcoin) for the loss of the coins by Moolah.” 

However, Syscoin has not provided any materials or proofs of their investigation which led some members of the community to assume that the company just wishes to calm down its clients and investors that the investigation is progressing. The arrest of Alex Green has been unconfirmed but it reportedly rook place in December.

Syscoin is a cryptocurrency with a strong focus on the blockchain technology. The startup’s team is currently working on a new platform for buyers and merchants, called Blockmarket, which they expect to launch next week.